Thu, Dec 13, 2007 - Page 12 News List

AU Optronics undecided on 8.5G plant

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AU Optronics Corp (AUO, 友達光電), the nation's largest maker of liquid-crystal displays (LCD), said it had not yet made a decision on whether to build a more advanced factory.

"We will decide by the end of the month," said Rose Lee (李惠珊), a public relations official for the Hsinchu-based company.

Lee was responding a report by the Chinese-language Commercial Times yesterday that the company would begin installing equipment for a new 8.5-generation LCD factory as early as September next year. The newspaper cited an unidentified equipment supplier.

"Our investment plans will be based on client needs, not on competitors," Lee said.

The company's board is scheduled to meet next week, probably on Tuesday, she said, without providing details on what will be discussed.

An 8.5G plant will be the most advanced LCD factory in the country. AUO's most advanced fab now is a 7.5G plant in Taichung. The new plant will be able to handle larger sizes of glass used in displays for TVs.

AUO chairman Lee Kun-tai (李焜耀) said in May the company intended to delay expansion of its plants by almost a year to the end of next year to ease a glut in global supply of LCD panels.

AUO shares declined 4.9 percent in Taipei to close at NT$58.90 yesterday, the lowest since Oct. 5, compared with a 1.7 percent slide in the benchmark TAIEX.

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